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TMI Blog2018 (10) TMI 346X X X X Extracts X X X X X X X X Extracts X X X X ..... stion, details of which given below as: (a). Nature of Road Usage charges and Government Fee paid by applicant in respect of following services: Head Description of activity Nature Government Body Road Usage charges Abhivahan Sulk Road Usage charges paid to the Govt.(Services) Tarai Paschimi, Van Prabhag, Ramnagar (Nainital) Road Usage charges Government Fee Fee for Ambient Air Monitoring Pollution expenses paid to the Govt. (Services) U.K. Environment Protection Control Board, Haldwani Khanij Sampada Sulk Pollution & Mining charges paid to the Govt. Dist. Geology & Mining Dept. (U.K.) Motor Vehicle Tax Amount paid to State Transport Dept. (Services) ARTO, Kashipur, State Transport Department (b). Road Usage charges and Government Fee paid by the applicant to multiple Government Departments (tabled in sl.no. a above) falls within the category of Exempted Government Services as mentioned under s.no. 4, 5, 6, 9, 23 & 47 of the Exemption Notification and accordingly no GST is require to be paid on such charges under s.no.5 of the RCM notification. (c). GST applicability on penalty paid by the applicant on unaccounted stock of River Bed Material (RBM) on the ord ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... describing therein exact nature of work beine undertaken. Nobody appeared from the side of Revenue for the hearing. 5. In the present application, applicant has requested for advance ruling on different issues which are mentioned in (b) (c) & (e) of the Point no.1 above and are now discuss as under: 5.1 Road Usage charges and Government Fee paid by the applicant to multiple Government Departments (tabled below) whether falls within the category of Exempted Government Services as mentioned under s.nos. 4, 5, 6, 9, 23 & 47 of the Exemption Notification: 6. In View of the above, we order as under: Head Description of activity Nature Government Body Road Usage charges Abhivahan Sulk Road Usage charges paid to the Govt.(Services) Tarai Paschimi, Van Prabhag, Ramnagar(Nainital) Road Usage charges Government Fee Fee for Ambient Air Monitoring Pollution expenses paid to the Govt.(Services) U.K Environment Protection Control Poard, Haldwani Khanij Sampada Sulk Pollution & Mining charges paid to the Govt. Dist. Geology & Mining Dept. (U.K) Motor Vehicle Tax Amount paid to State Transport Dept.(Services) ARTO, Kashipur, State Transport Department A. It is pertinent to m ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... for carrying forest produce. Under GST regime under Section 2(102) services means anything other than goods and all services but for list of exempted services as provided under Chapter 99 of GST Tariff, 2017 are liable for GST. Since the services provided by the ' applicant do not find mention in the list of exempted services, therefore the applicant, is liable to pay GST @ 18% on the said "Abhivahan Shulk" under Service Code 9997 and to be treated as "other services". Since the facts of the present case are similar to facts earlier dealt by the authority in the case of Forest Department, therefore, we find no reason to deviate from earlier ruling on the same issue. However on the is sue of "Abhivahan Shulk", the applicant is liable to discharge GST liability under reverse charge in terms of Serial No. 5 of the Notification no. 13/2017 - Central Tax (Rare) dated 28.06.2017 (as amended) and the extract of said notification is reproduce below: Notification no. 13/201 7 - Central Tax (Rate) dated 28.06.2017 S.No. Categories of Supply of Services Supplier of service Recipient of service 5 Services supplied by the Central Government. Stale Government Union territory or loc ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... p; ** (c) a Municipal Committee, a Zilla Parishad, a District Board, and any other authority legally entitled to, or entrusted by the Central Government or any State Government with the control or management of a municipal or local fund (d) to (g) ** ** ** On going through the legal position (supra) we find that UEPPCB is not State Government however cow-red under the definition of local authority in terms of Section 2(69)(c ) of the Act. It is established that UEPPCB is a local authority, now second question arises whether the services rendered by them are liable to GST or not. In. this context we find that the services rendered by UEPPCB is covered under Article 243 W of the Constitution and the same is extracted below: (a) Urban planning including town planning. (b) Regulation of land-use and construction of buildings. (c) Planning for economic and social development. (d) Roads and bridges. (e) Water supply for domestic, industrial and , commercial purposes. (f) Public health, sanitation conservancy and solid waste management. (g) Fire services. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... es on the fee collected by UEPPCB in respect of said activity as the same is exempted service. C. Khanij sampada sulk as per document submitted by the applicant is related to " environmental and mining property fee" which is charged on transportation/release of Natural Sand & Grit and other similar 'River Bed Material (RBM) from the applicant and credited to the State Government Exchequer on monthly basis. Therefore we observe that the said "Khanij sampada sulk" is a form of consideration received by the State Department in lieu of services provided to the applicant for carrying over produce. As per Section 2(102) of the Act 'service' is defined as under: (102) "services" means anything other than goods, money and securities but includes activities relating to the use of money or its conversion by cash or by any other mode, from one form, currency or denomination, to another form, currency or de nomination for which a separate consideration is charged;" We further find that services which are exempted from GST are notified vide Notification No. 12/2017-Central Tax(Rate) dated 28* June' 2017. On going through the said notification we find that in totality 81 servi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 39;value of supply'. Section 15(1) of the Act defines 'value of taxable supply' Section 15(1) at the: transaction value, which is the price: actually paid or payable for the said supply of goods or services o" both where the supplier and the recipient of supply are unrelated aid the Price is the sole considers for the supply. We further find that Schedule II of the Act. provide activities to be treated as supply of goods or supply or services. The relevant portion of the same extracted and read as under: "5(e) agreeing to the oblige lot to refrain from an act, or to tolerate an act or situation, or to do an act' Before coming to any conclusion on this issue we first analyze the provisions (supra) as under (i) Obligation to refrain from an act:- It means any act, which binds a person, for not doing a particular act in the given circumstance. (ii) Obligation to tolerate an act or a situation: It means to accept the occurrences or existence of an act or a particular thing, which is imposed by a condition or circumstances, in a contract, agreement or any other document which is legally enforceable by law. (iii) Obligation to do. an act It means to perform or to d ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... vailability of GST paid by the applicant at the time of purchase or repairs including spares w.r.t Vehicles (Pokland. JCB. Dumper & Tipper)used by it for movement of goods in its palace of business as Input Tax Credit. We find that the Section 17(5) of the Act restrict availment of ITC in respect of GST paid on inputs, capital goods and services. The relevant portion of the same is reproduce as under: (a) motor vehicles and other conveyances except when they are used- (i) for making the following taxable supplies, namely; (A) further supply of such vehicles or conveyances; or (B) transportation of passengers; or (C) imparting training on driving, flying navigating such vehicles or conveyances; (ii) for transportation of goods; We also find that in terms . the provisions of Section 2(76) of tie Act the expression "motor vehicle" shall have the same meaning as assigned to it in Clause (28) of Section 2 of the Motor Vehicle Act, 1988 and the same read as under: Section 2(28) in The Motor Vehicles Act, 1988: "motor vehicle" or "vehicle" means any mechanically propelled vehicle adapted [or use upon roads whether the power of propulsion is transmitted thereto from an externa ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Motor Vehicle Act, 1988, which does not include the mining equipment viz., tippers, dumpers. Thus, as per present provisions, the GST charged or purchase of earth moving machinery including tippers, dumpers used for transportation of goods by a mining company will be allowed as input credit. ORDER (i) "Abhivahan Shulk" is different from toll tax and is covered under Service Code 9997, and to be treated as "other services" and is liable for GST. The applicant is liable to pay GST a 18% as on date on the same under reverse charge in terms of Serial No. 5 of the Notification no. 13/2017 - Central Tax (Rate) dated 28.06.2017 (as amended) ; (ii) The fee collected by UEPPCB is exempted in term of serial no. 4 of the Notification No. 12/2017-Central Tax(Rate) dated 28th June 2017. Therefore there is no GST on the same; (iii) Khanij sampada sulk is a supply of service. The applicant is liable to pay GST @ 18% as on date on the same under reverse charge in terms of Serial No. 5 of the Notification no. 13/2017 - Central Tax (Rate) dated 28.06.2017 (as amended); (iv) The Services of registration rendered by State Transport Office is a exempted service and no GST is payable on the sam ..... X X X X Extracts X X X X X X X X Extracts X X X X
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